Homie, a real estate startup based mainly in Utah and Arizona, acquires funding of $23 million from its Series B equity financing.
FREMONT, CA: Homie is a real estate startup that has made a lasting impact among the younger, first-time homebuyers in Utah and Arizona. It is renowned for the affordable closing costs, 6 percent real estate commissions, and arduous paperwork linked to traditional home sales. Homie now has plans to explore and open in three new markets along with a Vegas launch powered by the funds collected from its Series B equity financing.
The real estate startup Homie raised $23 million from its Series B equity funding round. The unique feature of Homie is that it takes a different approach by employing real estate agents who will assist clients through the entire process. The exception is that the agents will not charge a commission, instead of which sellers will get a $1500 flat fee. Sellers are also guaranteed to avail built-in attorney assistance for the entire process of sale for negotiation purposes. This structure of Homie resonates with its users, and the company has claimed to have saved more than $55 million in commissions, with revenue growth of 150 percent over the last year.
The company also has plans for expansion, and it shows that the company is functioning without hiccups in its unique approach. The startup is planning to expand to Vegas and Dallas areas along with a few other cities, including Boise, Seattle, Colorado Springs, and Nashville over the next year.
Homie also has big news coming out this year, the addition of adjacent services for real estate like Homie Loans, Homie Title, and Homie Insurance, which will function in alignment with real estate services and streamlines the processes for the customers.
“Buying or selling a home is expensive and time-consuming because of all the different companies you have to work with,” Hanna said in a statement. “Communication becomes a game of telephone because of all the parties involved. We are disrupting the traditional model and saving customers thousands of dollars by combining technology, a team of experts, and a one-stop-shop for real estate. Technology has changed everything except for the real estate business model. That time has finally come.”